What code is on 1099R box 7? What did you do with it? Did you roll it into a IRA or another employer 401K?
If you are looking at a summary screen or review screen those show the full amount as income and lump a lot of stuff together. You need to check the actual 1040 form and make sure it's right. It should be on 1040 line 5a and zero in 5b with the word ROLLOVER by 5b. It should be on the pension and annuity line. It is not an IRA.
